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Romania needs to act fast

Not again, is what one might hear from local officials. They could go on and claim that they were on the right track with reforms but now…. As always we will be left with good intentions and great expectations.
Yes, this seems to be the fate of Romania. Every time it embarks on a reform path something, like a global crisis, gets in the way.
But is this really what happens? Or as things get really stretched globally and start spilling over to us we just then decide to implement reforms? If this is true, and please prove worng, then it is normal that the Romanian window of reform is very narrow. Always.
As sad as it may be in front of this new negative shock Romanian stands yet again unprepared. With higher taxes, higher government debt, weaker financial sector and private companies, over indebted households and high inflation Romania needs to act fast if it wants to avert one more year of negative growth. Relief has to come from somewhere and it can only be from the fiscal side: income and social security taxes have to fall.
Otherwise the pressure from weaker RON, higher interest rates for RON, USD and EUR and weaker export volumes will push the economy back to negative growth.